Market Matters Blog

DTN Weekly Average DDG Price Moves Higher

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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DTN's weekly spot price for domestic distillers dried grains for the week ended Aug. 25 was $8 higher on average versus one week ago. (DTN file photo)

MINNEAPOLIS (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended Aug. 25 was $240 per ton, up $8 versus one week ago. DDG prices were higher this week following the strength in soybean meal and cash corn prices. The DTN National Corn Index is up 31 cents versus one week ago Thursday.

The Energy Information Administration (EIA) said Wednesday domestic plant production of ethanol increased 4,000 barrels per day (bpd) to 987,000 bpd or 5.8% above the same week last year. At 928,000 bpd through Aug. 19, the EIA reported Midwest ethanol production edged up 2,000 bpd week-on-week and was 5.3% higher than a year ago. Plant production gained for the first time in three weeks.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Aug. 25 was 1.02%. The value of DDG relative to soybean meal was 52.40%, and the cost per unit of protein for DDG was $8.89, compared to the cost per unit of protein for soybean meal at $9.64. DTN's estimates moved to utilizing September futures since July has gone off the board.

In its weekly DDGS export update, the U.S. Grains Council said: "Barge CIF NOLA DDGS values are $11 metric ton (mt) higher for September positions this week while FOB NOLA offers are up $10/mt to $314 this week for spot positions. The DDGS container market followed gains in the FOB market and offers for 40-foot containers to Southeast Asia rose $9/mt to $397 this week."

NOTE: All prices listed below can change at any time and are subject to confirmation from seller.

ALL PRICES SUBJECT TO CONFIRMATION CURRENT PREVIOUS CHANGE
COMPANY STATE 8/25/2022 8/18/2022
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $265 $255 $10
Wet $155 $145 $10
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
SUBJECT Dry $260 $260 $0
SUBJECT Wet $125 $125 $0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $220 $210 $10
Indiana Dry $210 $205 $5
Iowa Dry $230 $220 $10
Michigan Dry $190 $190 $0
Minnesota Dry $225 $220 $5
New York Dry $205 $205 $0
South Dakota Dry $235 $225 $10
MGP Ingredients, Atchison, KS (800-255-0302)
Dry $265 $260 $5
Wet $89 $75 $14
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $245 $245 $0
Iowa Dry $260 $255 $5
Michigan Dry $215 $215 $0
Minnesota Dry $250 $250 $0
Missouri Dry $275 $275 $0
Ohio Dry $245 $245 $0
South Dakota Dry $260 $255 $5
Nebraska Dry $285 $260 $25
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $265 $255 $10
Wet $95 $90 $5
Illinois Dry $225 $215 $10
Nebraska Dry $265 $255 $10
Wet $95 $90 $5
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $220 $220 $0
Indiana Dry $245 $215 $30
Iowa Dry $235 $215 $20
Michigan Dry $215 $210 $5
Minnesota Dry $215 $205 $10
Nebraska Dry $275 $255 $20
New York Dry $250 $245 $5
North Dakota Dry $225 $215 $10
Ohio Dry $225 $215 $10
South Dakota Dry $230 $215 $15
Wisconsin Dry $210 $210 $0
Western Kansas Dry $290 $245 $45
Wet $105 $105 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $340 $335 $0
**Weekly Average: $240 $232 $8
(Prices listed per ton)
**The weekly average prices above reflect only those companies DTN
collects spot prices from. States include: Missouri, Iowa, Nebraska,
Kansas, Illinois, Minnesota, North Dakota, South Dakota, Michigan,
Wisconsin and Indiana. Prices for Pennsylvania, New York and
California are not included in the averages.

VALUE OF DDG VS. CORN & SOYBEAN MEAL
Settlement Price: Quote Date Bushel Short Ton
Corn 8/25/2022 $6.5750 $234.82
Soybean Meal 8/25/2022 $458.00
DDG Weekly Average Spot Price $240.00
DDG Value Relative to: 8/25 8/18
Corn 1.02% 1.05%
Soybean Meal 52.40% 51.62%
Cost Per Unit of Protein:
DDG $8.89 $8.59
Soybean Meal $9.64 $9.46
Notes:
Corn and soybean prices take from DTN Market Quotes. DDG price
represents the average spot price from Midwest companies
collected on Thursday afternoons. Soybean meal cost per unit
of protein is cost per ton divided by 47.5. DDG cost per unit
of protein is cost per ton divided by 27.

Mary Kennedy can be reached at mary.kennedy@dtn.com

Follow her on Twitter @MaryCKenn

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